MS Supreme Court rejects rehearing motions from MS Power, PSC - WLOX.com - The News for South Mississippi

MS Supreme Court rejects rehearing motions from MS Power, PSC

JACKSON, MS (WLOX) -

The Mississippi Supreme Court has rejected rehearing motions filed by Mississippi Power and the state's Public Service Commission following its decision earlier this year that the power company would have to refund $257 million in rate hikes back to its 186,000 customers.

In February, the Supreme Court ruled an agreement between the PSC and the power company to raise rates by 15 percent in 2013 and 3 percent in 2014 to help pay for the Kemper County lignite plant was “unenforceable” because the settlement agreement was made in private.

The court said the PSC overstepped its bounds by making the agreement, and that it had no legal authority to approve the rate hikes.

The plant, which was originally estimated to cost $2.2 billion, now has a price tag of more than $6.1 billion.

One day after the court made its ruling, Mississippi Power announced it would ask for a rehearing.

What does this mean for Mississippi Power ratepayers?

In May, the power company submitted three rate hike proposals to the PSC to have a plan in place just in case the Supreme Court rejected its rehearing request. Depending on which plan is adopted, your power bills could increase an average of $6 a month to $37 a month.

Mississippi Power spokesman Jeff Shepard released this statement Thursday afternoon:  

This afternoon, the Mississippi Supreme Court issued a ruling denying Mississippi Power's and the Public Service Commission's rehearing requests related to its February ruling associated with the Kemper County energy facility.

While we are certainly disappointed with the decision, we continue to do everything reasonable to protect the interests of our customers and the company.

Because rehearings in cases such as these are rare, on May 15 the company filed rate proposals with the state Public Service Commission in anticipation of this ruling.

We will work with the Mississippi PSC to determine the next steps in this process and will continue to work on methods to lower the impact on customer bills.

We are reviewing the Court's decision and will provide updates on any further response from the company as necessary.

Copyright 2015 WLOX. All rights reserved.

  • MS Supreme Court rejects rehearing motions from MS Power, PSCMore>>

  • breaking

    MS Power submits rate hike options to pay for Kemper Co. plant

    MS Power submits rate hike options to pay for Kemper Co. plant

    Friday, May 15 2015 4:18 PM EDT2015-05-15 20:18:08 GMT
    Friday, May 15 2015 4:50 PM EDT2015-05-15 20:50:08 GMT
    We now have a much clearer indication of how much you'll pay to get electricity from Mississippi Power's new Kemper County lignite plant. WLOX News spoke with Mississippi Power CEO Ed Holland on Friday.More >>
    We now have a much clearer indication of how much you'll pay to get electricity from Mississippi Power's new Kemper County lignite plant. WLOX News spoke with Mississippi Power CEO Ed Holland on Friday.More >>
Powered by Frankly